Retailers warned to be wary of previous failures when sharing spaces
Retailers are being warned to be wary of previous failures when opting to share their store spaces with similarly themed businesses.
Managing Director of Marketing Focus Barry Urquhart told Ross and John that intrusions of fast fashion operators such as Amazon have forced retailers to look at different ways of generating consumer traffic, seen recently when a fashion designer and shoe designer hired a retail space in Fitzroy together.
But he warned small businesses of the risk involved, citing a recent failed tactic employed by many pharmacies as an example.
‘Many pharmacies began sharing their premises with newsagents and TattsLotto but it didn’t work,’ Urquhart told 3AW Breakfast.
‘The buying cycles are too different and it doesn’t end up being one of those complementary sales where you buy this when you buy that.’
Pharmacies learnt from the mistake, with many introducing complementary health services and Urquhart said there needs to be a clear and reasonable link in order for it to be a successful venture.
‘The big trend at the moment is pet shops now integrating their premise with veterinary clinics,’ he explained.
‘If people are going to spend money on the care of the pets, then a simple extension on that is veterinary science.’
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